Firm Info
Firm Size
Services Offered
- Financial Planning
- Portfolio Management for Individuals & Small Businesses
Types of Clients
- Individuals (Not High Net Worth)
-
Individuals High Net Worth
*>=750k in Investable Assets or >=1.5m of Estimated Total Net Worth
- Pension & Profit Sharing Plans
Available Fee Structures
- Percentage of Assets Under Management (AUM)
- Hourly
- Fixed Fees (Other than subscription)
Waterway Wealth Management, L.l.c. Overview
Waterway Wealth Management is a registered investment advisory firm based in The Woodlands, TX that has been in business since 2013. As a fee-only firm, they do not receive any commissions from the sale of additional financial products, meaning that their sole source of income is from the fees they charge their clients. This fee-only structure ensures that Waterway Wealth Management is a truly independent firm that is able to provide objective advice that is solely in their clients' best interest. In addition to being a seller of additional financial products, Waterway Wealth Management also offers financial planning and portfolio management services for both individuals and small businesses. Their team of experienced professionals works closely with their clients to develop personalized financial plans that meet their unique needs and goals. Through their portfolio management services, they help their clients to build and maintain investment portfolios that are designed to achieve long-term growth and wealth accumulation. Overall, Waterway Wealth Management is a trusted and reputable firm that provides high-quality financial planning and investment management services to their clients. Their commitment to transparency, objectivity, and personalized service sets them apart in the industry and has helped them to become a trusted partner for individuals and businesses seeking to achieve their financial goals.
WATERWAY WEALTH MANAGEMENT, L.L.C. caters to a diverse range of clients which includes individuals, high net worth individuals, and pension or profit sharing plans. Their team of experienced financial professionals provide personalized advice and solutions to meet the unique needs of each client. Individuals seeking guidance to manage their finances and investments can benefit from the firm's expertise in identifying strategies that help to achieve long-term financial goals. High net worth individuals often require more sophisticated and diverse investment strategies, and this is where the firm's team's expertise is invaluable. Pension or profit sharing plans can benefit from the firm's expertise in plan administration, investment strategies, and compliance. Clients of WATERWAY WEALTH MANAGEMENT, L.L.C. have access to a variety of fee structures depending on the services provided. The firm offers a percentage of AUM (assets under management) fee structure, where clients are charged a percentage of the total value of their assets managed by the firm. This fee structure is often preferred by clients who want to align the firm's interests with their own, as the firm's compensation is tied to the performance of the client's portfolio. A second fee structure available is an hourly fee, where clients are billed for the time spent by the firm's team on tasks related to the client's account. This fee structure may be suitable for clients who require specific financial planning advice or have a limited portfolio size. Finally, fixed fees are charged for specific projects, such as financial planning or investment research and analysis. This fee structure allows clients to get a clear understanding of what they will pay for particular services, and can be beneficial when clients need help on a short-term project or want to avoid ongoing fees.
Typical Clients, Fee Structures & Investment Minimum
According to WATERWAY WEALTH MANAGEMENT, L.L.C.'s Part 2 Brochure, the firm requires a minimum account size of $250,000 for new clients. The brochure states, "We generally require a minimum relationship size of $250,000 for our services," indicating that potential clients must have at least $250,000 to invest with the firm. Therefore, it can be concluded that WATERWAY WEALTH MANAGEMENT, L.L.C. has an investment minimum of $250,000.
How This Office Can Help Shenandoah, TX Residents
Waterway Wealth Management is a financial advisory firm that specializes in assisting individuals and families in Shenandoah, TX with their financial planning needs. They offer comprehensive wealth management services tailored to the unique financial situations of their clients. With years of expertise and knowledge, the team at Waterway Wealth Management helps their clients in Shenandoah manage their finances better, plan for the future, and achieve their financial goals. Those living in Shenandoah, TX may face financial situations such as managing their retirement plan, paying off student loans, managing debt, or planning for their children’s college education. They might also require assistance with estate planning or investment management. Waterway Wealth Management provides customized solutions and strategies that cater to each client’s specific needs, putting their years of experience in the world of finance to work for them. By providing personalized advice and financial planning solutions, those in Shenandoah can have the peace of mind that comes with knowing they are being taken care of by experts in the industry.
Services Offered by Waterway Wealth Management, L.l.c.
Core Advisor Services
Financial Planning
Financial planning services encompass the process of devising strategies for your future financial well-being, including preparing for events such as retirement, funding your child's college education, or planning for the transfer of assets.
Portfolio Management for Individuals & Small Businesses
Portfolio management entails the careful selection and strategic management of investment combinations tailored to meet the needs of individuals and small businesses.
Market Timing Services
Market timing services involve the endeavor to generate short-term profits from investments by capitalizing on opportunities to buy at low prices and sell at high prices.
Other Services
Selection of Other Advisors
The firm provides support in selecting and engaging other advisors who possess specialized expertise to complement your financial needs.
Publication of Periodicals or Newsletters
The firm engages in the dissemination of diverse financial educational materials through the publication of periodicals.
Educational Seminars & Workshops
The firm organizes and conducts seminars or workshops aimed at enlightening investors on various financial concepts.
Fee Structures
Financial advisory fees usually are based on the services provided. Fee types charged by Waterway Wealth Management, L.l.c. most likely consist of the following fee types: asset-based, hourly or fixed. Wrap fee programs, or the practice of bundling services for a single fee, are not offered by the firm.
Available
Percentage of Assets Under Management (AUM)
This fee structure charges a percentage of the assets under management by the firm. Fee structures are often tiered based on the amount of assets managed, with higher AUM often charged a lower rate.
Between 0.50% and 2.00% of assets under management (annually), often lower for a robo advisor. Fees are typically charged quarterly by the firm and will show on your investment statement. View typical advisor costs here.
~96% of registered firms offer this fee structure.
If you have $1 million managed by a firm at a 1% management fee, you would be charged $10,000/year to manage your assets (or $2,500 per quarter). This would be automatically deducted from your investment portfolio.
Hourly
Similar to an attorney, a financial consultant might charge fees based on hourly rates. This fee structure can be advantageous when seeking specific or ad hoc advice.
Charges generally span from $150 to $400 per hour, depending on the extent of the services required.
~33% of registered firms offer this fee structure.
If you needed hourly consulting to sell a business or transfer your estate to your children but did not want your assets managed by a firm, you could consult a firm at an hourly rate to answer any questions you may have.
Fixed Fees (Other than subscription)
Fixed fees are a one-time, lump-sum payment rendered for a specific service, such as creating a financial plan without ongoing management or implementation. This option is beneficial if you solely require guidance for a particular objective rather than a long-term consultancy or asset management.
Fixed fees for creating a financial plan often range from $1,000 to $3,000.
~49% of registered firms offer this fee structure.
If you did not want a firm to manage your assets but needed to create a retirement plan, life transition plan such as divorce or loss of a spouse, estate transition plan, business financial plan, or any other financial planning, you could consult with an RIA firm to help you with the creation of that plan.
Unavailable
Subscription (Newsletter or Periodical)
Commissions
Occasionally, advisors are compensated through commissions by selling certain financial products, such as mutual funds or life insurance policies, or as a broker-dealer by facilitating the buying and selling of securities. Advisors who receive commissions may be incentivized to make specific suggestions to clients in order to secure a commission. Advisors who operate on a fee-only basis do not earn commissions, whereas fee-based advisors may do so.
Often 3% - 6% of the value of the security.
Only ~3% of registered firms say they offer this fee structure, but other advisors may receive “soft dollars”. Many mutual funds charge 12b-1 fees to cover the promoting and selling of the fund’s shares. While your advisor does not charge these fees, they may receive a kickback for recommending the investment.
An advisor selling their client on a life insurance policy and receiving a commission on the sale of that policy, or recommending a specific investment and receiving a kickback for that recommendation.
Performance-based Fees
Advisors typically obtain performance-based fees if a portfolio surpasses a predefined benchmark. This fee is determined through various methods, but is most commonly assessed as a percentage of investment gains. Performance-based fees may incentivize advisors to undertake riskier decisions in pursuit of generating higher returns.
“Two and Twenty” is common among hedge funds with a 2% management fee and a 20% incentive fee above the “hurdle rate,” or performance threshold the fund is compared against.
32% of registered firms offer this fee structure.
A hedge fund earns a 15% return with a 20% performance fee in above the performance of the S&P 500, which grew 7% that same year.
20% of fund growth in excess of S&P 500’s 7% growth for that year = 15% hedge fund growth - 7% S&P 500 growth = 8% difference x 20% = 2% performance fee (in addition to the management fee).
Other
Firms occasionally offer unconventional fee structures when charging clients. For more detailed information about a firm’s specific fee structures, please refer to their Form ADV and Part 2 Brochure.
Types of Clients
*The Securities & Exchange Commission defines someone as “high net worth” if they have $750,000 or more in investable assets or $1.5M of estimated total net worth.
This Office Location
Other Office Locations
This firm has no other locations.
State Registrations
Waterway Wealth Management, L.l.c. is registered to service clients in the following states:
- California
- Colorado
- Louisiana
- New Mexico
- Texas
Disciplinary History
Waterway Wealth Management, L.l.c. does not have any disclosures. Please visit it's Form ADV for more details.